Prior to the highly anticipated presidential debate between Donald Trump and Joe Biden, many on social media were speculating whether the topics of Bitcoin and cryptocurrency would come up. However, as the debate concluded, it was clear that neither candidate made any mention of these emerging digital assets or technologies. The absence of any discussion […]
Bitcoin News
Bitcoin Rally Incoming: This Major BTC Metric Just Turned Bullish Once Again
A crucial Bitcoin metric has just turned bullish, sparking optimism from a crypto analyst regarding an impending rally for Bitcoin. This unique technical pattern suggests that the world’s largest cryptocurrency could see its price ascending further, potentially kick-starting a highly welcomed bull run this cycle.
Bitcoin Technical Pattern Flips Bullish
Bitcoin’s price has often followed distinct historical patterns, with the majority of these indicators preceding significant rallies or bearish trends. One of the most compelling signs that Bitcoin may be turning bullish again is seen as the Stablecoin Supply Ratio (SSR) Oscillator breaks below the lower Bollinger Bands, a technical indicator used to measure a market’s volatility and momentum.
According to a crypto analyst identified as ‘Dominando Cripto’ on X (formerly Twitter), the SSR is a unique technical tool designed to evaluate the market sentiment by comparing the supply of stablecoins to Bitcoin. This tool is used by analysts and traders to identify buying and selling opportunities for Bitcoin. Additionally, it quantifies how the 200-day Simple Moving Average (SMA) of the SSR moves within the Bollinger Bands.
Dominando Cripto has provided an in-depth explanation of how the SSR oscillator is calculated and how to interpret its signals for identifying bullish trends.
“The oscillator is calculated by taking the difference between the current Stablecoin Supply Ratio value and its 200-day Simple Moving Average (SMA), then dividing it by the standard deviation of the SSR over the same period,” the analyst stated.
Sharing a price chart depicting movements of the SSR oscillator, the crypto analyst suggests that when the oscillator moves above the upper Bollinger Bands, it suggests that the SSR is significantly higher than normal levels. This indicates that stablecoins are dominating the market, signaling bearish sentiment and a potential downturn for Bitcoin.
Conversely, when the oscillator falls below the lower Bollinger Band, it indicates that the SSR is low, highlighting the reduced dominance of stablecoins and signaling bullish sentiment that could potentially trigger an incoming rally in Bitcoin.
In the above price chart, Dominando Crypto pinpointed several instances when the SSR oscillator displayed bearish and bullish sentiment, identifying these periods as heated zones and cold zones, respectively. Recent market movements indicate that the SSR oscillator is in the cold zone, indicating a potential bullish outlook for Bitcoin.
More Bullish Signs For BTC
On May 18, Blockchain analytics platform, Santiment, revealed a new market trend where small traders are consistently liquidating their BTC holdings, even as the cryptocurrency has shown positive performance lately.
The analytics platform noted that historically, when small wallets dump coins into larger wallets, it is considered an encouraging sign for Bitcoin, indicating a potential bullish turnaround for the pioneer cryptocurrency.
At the time of writing, Bitcoin’s price is trading at ,955, according to CoinMarketCap. The cryptocurrency has been on a major bullish momentum recently, witnessing an 8.94% increase in the last seven days and a 4.25% surge over the past month.
Crypto Pundit Lists 4 Altcoins To Buy Once The Bitcoin Price Bottoms
Crypto analyst DonAlt has listed four altcoins he will buy once he believes that Bitcoin’s price has bottomed. The analyst further provided insights into why he is particularly bullish on these altcoins.
Ethereum Is Number One On The Altcoins List
DonAlt mentioned in an X (formerly Twitter) post that he will buy “ETH, DOGE, LTC, and maybe PEPE” whenever he believes BTC has bottomed. In a video posted on his YouTube channel, he gave insights into why he was bullish on these crypto tokens, especially Ethereum.
The crypto analyst mentioned that Ethereum is now low enough for him to be comfortable with buying. He also suggested that the crypto token was likely a good buy at this price level, stating that it is currently having a good price action (especially on the weekly chart) with Bitcoin struggling.
DonAlt added that Ethereum will likely experience a good breakout as Bitcoin struggles and that its underperformance could be over soon. However, DonAlt hasn’t bought Ethereum yet. He revealed that he will bet on Ethereum if Bitcoin reclaims ,000.
The analyst further suggested that Bitcoin reclaiming this level would determine whether or not the bottom was in. To support his stance, he noted that many altcoins are struggling to hold their support levels due to Bitcoin’s breakdown. However, if Bitcoin were to reclaim ,000, the rest of the market would likely pick up, too.
Meanwhile, DonAlt remarked that Ethereum could move to ,000 if it manages to close above ,000 on its weekly chart. He further stated that this is the most bullish he has been on the second-largest crypto token in years.
Why Dogecoin (DOGE) And Pepe (PEPE)
DonAlt didn’t give an exact reason why he was looking to buy Litecoin other than the fact that it is an old coin. However, he gave insights into why he was bullish on the other two altcoins, Dogecoin and Pepe.
According to him, the foremost meme coin is still likely to reach if Bitcoin hasn’t topped out, which presents an opportunity to make a lot of money. Interestingly, he had previously claimed that Dogecoin was a better investment than Bitcoin. He also revealed that he is waiting for Dogecoin to drop to around .11 before buying, although he is still comfortable with buying around .15 if it doesn’t.
Meanwhile, as to why he is bullish on Pepe, he suggested that the meme coin was a good buy because of its recent performance. He went as far as comparing it to Dogwifhat (WIF) and claimed that he would pick Pepe over it because Pepe is on a “non-joke-like chain” (Ethereum), unlike WIF, which is a “meme on a meme chain” (Solana).
Analyst Predicts $650K Bitcoin Price Once ETF Investors Fully Deploy Asset Manager Recommendations
Popular onchain analyst Willy Woo has predicted a potential bitcoin price surge to 0,000 at the bull market’s peak. His prediction hinges on spot bitcoin exchange-traded fund (ETF) investors fully deploying their assets based on recommendations from asset managers. “These are very conservative numbers. Bitcoin will beat gold cap when ETFs have completed their role,” […]
Bitcoin News
Bitcoin Storms Past $38,000 Once More, Anticipating Breakout To New Annual Peak
Bitcoin (BTC) has again demonstrated its bullish momentum by surging above the ,000 mark. Breaking free from the recent trading range between ,500 and ,500, BTC currently trades at ,100, slightly below its yearly high of ,400 achieved on Friday, November 24. However, this is just one of the many milestones BTC has achieved during its ongoing bullish resurgence.
Bitcoin Achieves New 52-Week Closing Record
According to crypto trading firm The Birb Nest, Bitcoin has set a new 52-week closing record by a small margin, holding above ,000 for four consecutive weeks, demonstrating the continued strength of the uptrend.
Per the firm’s analysis, the observed performance aligns with the principles of Elliott Wave Theory and signifies the presence of the third wave within the ongoing bull market.
Notably, of the five waves outlined in the theory, the third impulse wave is a visually captivating and crucial element of the overall pattern.
Following the consolidation phase of the second wave that Bitcoin experienced between August and October, as seen on the 1-day chart of BTC above, the emergence of the third wave is characterized by a breakout that drives price action in line with the prevailing trend.
In particular, this wave is known for its extended nature, which often exceeds the length of the first wave, which began at the beginning of January 2023 for BTC.
The third wave exhibits a substantial extension relative to the length of the initial wave, typically reaching the 161.8% Fibonacci level. In simpler terms, the third wave can be interpreted as a 161.8% Fibonacci extension of the first wave.
Solid Support Levels Reinforce Positive Outlook For BTC
According to The Birb Nest, key technical indicators further support Bitcoin’s market momentum. The 200-week moving average (MA) at ,130 and the 50-week MA at ,450 serve as solid support levels, reinforcing the positive outlook for the cryptocurrency.
Additionally, Bitcoin’s correlation coefficient has risen to 0.75, indicating an increased synchronization with the performance of the S&P 500. This correlation can be viewed as a positive sign, particularly as the S&P 500 and Nasdaq enter their ‘Best Months’ strategy, which historically has been associated with market gains.
Furthermore, the firm believes that anticipation surrounding the upcoming Bitcoin halving event and the potential approval of a Bitcoin spot exchange-traded fund (ETF) is fueling investor interest. These factors hint at the potential for further market upturns and provide an optimistic outlook for Bitcoin’s future.
It remains to be seen if the current bullish momentum will be sustained and if BTC can consolidate above ,000 and target the ,000 level yet to be reached in 2023.
Featured image from Shutterstock, chart from TradingView.com
Dr. Doom Embraces What He Once Scorned: Nouriel Roubini’s Firm Rolls Out Crypto Amidst Criticism
Critics are currently roasting economist Nouriel Roubini, whose disdain for cryptocurrency is well-documented, as his company Atlas Capital announces its venture into the very market he once scorned. The firm is rolling out a crypto asset token crafted to combat the “negative effects of climate change,” marking a significant shift from Roubini’s previous stance when he labeled crypto enthusiasts as “corrupt, crooks, criminals, conmen, [and] carnival barkers.”
Economist Nouriel Roubini’s Firm Reveals Climate-Focused Crypto Token
Dubbed ‘Dr. Doom’ for his stark skepticism, Nouriel Roubini has maintained a consistent stance against crypto assets. In a notable mid-October 2019 clash, Roubini squared off with the well known entrepreneur and crypto evangelist Roger Ver, declaring “bitcoin or any other sh** coin” a non-starter for legitimate financial transactions. During that exchange, Ver challenged Roubini’s hesitance to embrace crypto assets asking “Why are you afraid to try it?”
Fast forward four years, and it appears that Atlas Capital, under Roubini’s leadership, has softened its stance, confidently introducing a new crypto asset known as atlas (ACT). The ACT token is designed to confront climate change, offering “everyday investors” a “climate investment strategy that is available on low-cost, liquid terms.” Its backing comes from tangible assets such as gold, bonds, commodities, and “climate-resilient” real estate investment trusts (REITs).
Laden with today’s trendiest jargon and tech-infused buzzwords, the ACT initiative’s overview boasts enhancements from artificial intelligence (AI), machine learning (ML), climate tech, and blockchain. This pivot to a crypto asset project has led to widespread mockery of Roubini, with many labeling his move as sheer hypocrisy. Binance CEO Changpenz Zhao called Roubini shameless.
“Some people are shameless,” CZ wrote. “After attacking Binance publicly on stage a year ago, now issues a token and puts [a] Binance logo on their website WITHOUT permission.”
One of the members of the Atlas Capital token team is a former Binance executive. Furthermore, the mocking of Roubini continued across social media over the past 24 hours. “Buzzword galore,” Bram Kanstein wrote. “It’s OK because it’s ESG crypto amirite,” Jameson Lopp said. “Wow my bestie Nouriel included all the buzzwords it must mean he is going to make money,” Bitmex founder Arthur Hayes added. The crypto account dubbed “Autism Capital” remarked:
No way. Why sell out and grift after all this time? This seems to be a common pattern. The ones who fight the grift seem to grift later at an inappropriate time and have it look way worse than if they just grifted when it was the right time. SAD!
Roubini has remained silent in the face of the backlash, despite being mentioned in numerous social media updates. His posts have remained sharply concentrated on the escalating conflict between Israel and Hamas, as well as on what he calls a “climate disaster.” The team behind the ACT token also stars notable industry figures, including Reza Bundy, the co-founder of Iron Planet; Paschalis Bouchoris, Blackrock’s former chief in the Middle East; Puneet Agarwal, an erstwhile Goldman Sachs executive; and Mayur Kamat, ex-head of product at Binance.
What do you think about Dr. Doom or Nouriel Roubini’s climate crypto token? Do you think it shows sheer hypocrisy? Share your thoughts and opinions about this subject in the comments section below.
This Bullish Divergence Is Once Again Forming For Bitcoin, Rally Soon?
Data shows a divergence is forming between Bitcoin and Ethereum’s open interest, something that has been bullish for BTC in the past.
Bitcoin Open Interest Has Declined, While Ethereum Has Seen Rise
According to data from the on-chain analytics firm Santiment, the BTC open interest has been going down since Monday. The “open interest” here refers to the total amount of Bitcoin contracts (in USD) that are currently open on the futures and options market.
When the value of this metric increases, it means that there are more positions being opened up on derivative exchanges right now. Such a trend can lead to increased volatility for the asset, as more positions generally come with higher overall leverage for the sector.
On the other hand, decreasing values suggest the traders are either closing off their positions or are getting liquidated. The cryptocurrency may become calmer following this kind of trend.
Now, here is a chart that shows the trend in the open interest for Bitcoin and Ethereum over the past month:
As displayed in the above graph, The Bitcoin open interest has observed a downtrend in the last few days. This decline in the indicator had first started when the fake iShares ETF announcement led to more than 0 million shorts being flushed in a flash.
The metric saw a bit of a rebound not too long after this sudden sharp liquidation squeeze took place, but it was quick to return back toward a downward trajectory.
At the same time that this latest decline in the Bitcoin open interest has occurred, the Ethereum open interest has registered a rise instead. This suggests that while contracts are closing up on BTC futures and options, the ETH side of the market is seeing renewed interest.
Interestingly, as Santiment has highlighted in the chart, the last time this trend occurred, the Bitcoin price benefited from an uplift. This previous occurrence of the pattern was between September 28 and 30, and shortly after this, the BTC price saw an increase of about 4.5%.
The divergence between the metrics of the two assets was much more pronounced back then as compared to now; however, the scales of both the decline in the BTC open interest and the rise in the ETH open interest were far greater.
Nonetheless, the same general pattern has still repeated this time, so it now remains to be seen whether Bitcoin would see a bullish effect this time as well, and if so, to what degree, given the lesser scale of the divergence.
BTC Price
Bitcoin has gone stale during the last few days as its price is still trading around the ,400 mark right now.
JPMorgan Expects SEC to Approve Multiple Spot Bitcoin ETFs at Once
Global investment bank JPMorgan expects the U.S. Securities and Exchange Commission (SEC) to approve multiple spot bitcoin exchange-traded funds (ETFs) at once, instead of giving one company the advantage of being the first. The bank’s analyst explained that if the securities regulator wants to defend its denial of Grayscale’s bitcoin ETF conversion proposal, it would have to retroactively withdraw its previous approval of bitcoin futures ETFs. “Such a retroactive withdrawal would be very disruptive and embarrassing for the SEC,” he cautioned.
JPMorgan Expects to See Several Spot Bitcoin ETFs Approved
JPMorgan analyst Nikolaos Panigirtzoglou explained in a note last week that the U.S. Securities and Exchange Commission (SEC) may be forced to approve several spot bitcoin exchange-traded funds (ETFs) after a court ruled in favor of Grayscale Investments regarding the crypto asset manager’s proposal to convert its bitcoin trust into a spot bitcoin ETF.
“The court ruling on the Grayscale case against the SEC has boosted crypto markets optimism,” the JPMorgan analyst wrote, elaborating:
With this decision following on from the recent SEC vs. Ripple court decision, it has in turn raised optimism that the SEC crackdown against crypto companies, that has been very intense since the beginning of the year, would lessen going forward as the SEC faces legal challenges.
“The most important element of the Grayscale vs. SEC court ruling was that the denial by SEC (of Grayscale’s proposal to convert its closed-end bitcoin trust to spot bitcoin ETF) was ‘arbitrary and capricious because the Commission failed to explain its different treatment of similar products’ i.e. futures-based bitcoin ETFs,” Panigirtzoglou detailed.
“Effectively the court argued that fraud and manipulation in the bitcoin spot market pose a similar risk to both futures and spot products because the spot bitcoin market and the CME bitcoin futures market are tightly correlated. Therefore the court ruled that there was no justification for the SEC to be allowing bitcoin futures-based ETFs but deny spot bitcoin ETFs,” the analyst described.
Panigirtzoglou stressed: “This is highly significant because it implies that for the SEC to defend its denial of Grayscale’s proposal to convert its closed-end bitcoin trust to spot bitcoin ETF, it would have to retroactively withdraw its previous approval of futures-based bitcoin ETFs.”
He stated that this “looks unlikely in our mind” because “Such a retroactive withdrawal would be very disruptive and embarrassing for the SEC.” The JPMorgan analyst added:
Instead it looks more likely that the SEC would be forced to approve the spot bitcoin ETF applications that are still pending from several asset managers including that from Grayscale.
“The recent postponement to October of the SEC decision on pending spot bitcoin ETF applications, likely points to approval of multiple spot bitcoin ETF applications at once rather than granting a first mover advantage to any single applicant,” he further said. “That could be beneficial for investors as it would allow for more competition in terms of ETF fees. Grayscale will likely face even bigger pressure to lower fees if its trust gets approval to be converted to the largest bitcoin spot ETF in the world.”
Do you agree with JPMorgan that the SEC will approve multiple spot bitcoin ETFs at once? Let us know in the comments section below.
IMF Blog: Interest Rates to Fall to Pre-Pandemic Levels Once Inflation Is Tamed
When inflation in advanced economies is tamed, real interest rates are likely to drop to pre-pandemic levels, the latest International Monetary Fund (IMF) blog post has said. According to the authors of the blog post, the transition to a “cleaner economy in a budget-neutral way” could result in lower rates in the medium term.
Recent Interest Rate Hikes Temporary
Interest rates in advanced economies are likely to fall to pre-pandemic levels when authorities succeed in bringing inflation back under control, the latest International Monetary Fund (IMF) blog post has suggested. The blog post added that the “recent increases in real interest rates are likely to be temporary.”
The return of real interest rates to levels seen before the spread of Covid-19 will also coincide with the easing of the respective countries’ monetary policy regimes. As has been reported by Bitcoin.com News, central banks from advanced economies have raised benchmark rates as they seek to tame inflation. The rising interest rates have sparked fears that the global economy may be headed for a recession.
However, in their April 10 blog post, the authors claimed a transition to a green economy may potentially lead to lower real interest rates globally:
Transitioning to a cleaner economy in a budget-neutral way would tend to push global natural rates lower in the medium term, as higher energy prices (reflecting a combination of taxes and regulations) would bring down the marginal productivity of capital. However, deficit-financing of public investment in green infrastructure and subsidies could potentially offset and even reverse this result.
The authors also suggested that so-called deglobalization forces could intensify and this may result in both “trade and financial fragmentation.” According to the authors, this outcome is likely to result in driving up the natural rate in advanced economies and down in emerging markets economies.
What are your thoughts on this story? Let us know what you think in the comments section below.
DoJ Reportedly Eyes USDT Once Again; Tether Responds
It’s a tale as old as time: the Department of Justice investigating Tether and USDT. It’s been reported far and wide, and for years on end, with speculation throughout. We’re back again as 2022 comes to a close, this time courtesy of a new report from Bloomberg.
Let’s take a look at what’s being reported, and Tether’s response.
Bloomberg’s Latest Report On Tether
On a Bloomberg Crypto Report live broadcast on Monday afternoon, paired with a published piece released earlier in the day, the outlet reported that the U.S. Department of Justice (DoJ) was revamping investigations into potential bank fraud allegations against Tether.
According to Bloomberg, officials have pumped new life into the investigations, including handing the case over to Manhattan-based US Attorney Damian Williams, who Bloomberg describes as one of the most aggressive crypto prosecutors – to the degree that he even “recently secured a guilty plea from a person affiliated with one of Tether’s payment processors.”
Reports have swirled around the DoJ and Tether for nearly half a decade, and shouldn’t catch anyone by surprise at this point. However, the response from the stablecoin doesn’t simply deny the Bloomberg report – it frames it as flat out false.
USDT’s market cap dominance has floated between 5-10% for most of this year. | Source: CRYPTOCAP: USDT on TradingView.com
Tether’s Response
Tether CTO Paolo Ardoino issued a swift response via a Twitter thread:
1/Bloomberg first reported on the DOJ's “investigation” in November of 2018 and in the years after. Stories which have been despicable attempts at crying wolf.
— Paolo Ardoino
(@paoloardoino) October 31, 2022
Tether released a formal response on their website as well, describing Bloomberg’s report as “desperate for attention” and “recycling old news that isn’t even factual.” Critics cite issues such as Tether’s employee-to-circulating supply ratio (Tether has over B in USDT circulating, with a handful of employees), along with the stablecoins reserve discrepancy (the stablecoin platform paid over M in fines with no admittance of wrongdoing), as major concerns in Tether’s viability to serve as the de facto ‘reserve stablecoin.’
Tether has continued to insist that the firm has remained transparent and in communication with law enforcement officials, and that it is “business as usual at Tether.” The response goes on to directly contradict Bloomberg’s report, stating that “Tether executives have had no interactions with the DOJ in connection with any investigation for well over a year and the DOJ does not appear to be actively investigating Tether.”
Featured image from Pixabay, Charts from TradingView.com
The writer of this content is not associated or affiliated with any of the parties mentioned in this article. This is not financial advice.
This op-ed represents the views of the author, and may not necessarily reflect the views of Bitcoinist. Bitcoinist is an advocate of creative and financial freedom alike.
NewsBTC